Tata Motors, India’s third-largest car maker, plans to invest over Rs 45,000 crore in its passenger vehicle business by FY30. The goal is to capture 20% of the growing Indian passenger vehicle market by the end of the decade.
Tata Motors plans to expand its market reach from 53% to 80%, requiring investments in new products and technologies. The company aims to double its product lineup, offering more than a dozen cars by FY30.
Previously, Tata Motors announced an investment of Rs 16,000 to 18,000 crore in its electric vehicle (EV) division, Tata Passenger Electric Mobility. The company also plans to invest 6-8% of its revenues annually in its internal combustion engine (ICE) segment, translating to over Rs 4,000 crore per year, totaling Rs 24,000 crore over 5-6 years.
Tata Motors is set to launch new models like the Curvv and Sierra in the next 12 months, aiming to expand its market reach to 65%. By 2026-27, the company expects an increase in planned investments to support these new products.
Shailesh Chandra, MD of Tata Motors’ Passenger Vehicle business, stated, “We plan to capitalize on industry changes and achieve market-leading growth. We are targeting a 20% market share by FY30.””We will expand our portfolio across EVs and CNG, introducing leading features to attract customers. We aim to mainstream EVs with an ecosystem approach and offer diverse EV models,” added Chandra.
Tata Motors currently has seven models, covering 53% of the total passenger vehicle market, with a 26% share in this segment. The company aims to increase its market coverage to 80% by FY30 by adding new models like the Curvv and Sierra, focusing on the SUV segment.
Tata Motors believes the market will grow to 6 million vehicles by the end of the decade and aims to sell over 1-1.2 million vehicles by FY30. The company expects EVs to make up 30-40% of its total sales by then, down from an earlier target of 50%.
